Nauru strengthens seafloor minerals partnership with TMC

NEW YORK and NAURU - The Republic of Nauru and Nauru Ocean Resources Inc. (NORI), a subsidiary of TMC the metals company Inc. (Nasdaq: TMC), have updated their 2017 Sponsorship Agreement to ensure continued benefits for Nauru from seafloor mineral resources development. TMC, currently valued at $1.54 billion, has seen remarkable market performance with a 366% surge in stock price over the past six months. According to InvestingPro analysis, the company maintains a FAIR financial health score despite current market challenges. The revised agreement, announced on June 4, 2025, reaffirms Nauru’s financial benefits, training, community, and social programs, and promises continuity benefits upon NORI’s commercial production start.

President David Adeang of Nauru expressed gratitude for the partnership with NORI and TMC, emphasizing their commitment to responsible deep-sea mineral development based on science. He highlighted the importance of this industry for climate change solutions and the existential threat it poses to small island nations like Nauru. While TMC operates with moderate debt levels, InvestingPro data reveals that analysts don’t expect profitability this year, with an EPS forecast of -$0.20 for 2025.

Nauru has been a pioneer in the seafloor minerals industry, being the first Developing State to sponsor an exploration contract in the Clarion Clipperton Zone (CCZ). NORI has conducted extensive environmental research and an integrated mining test in the CCZ, aiming to ensure that environmental management is based on evidence and best practices.

The revised agreement aligns with the 2050 Blue Pacific Strategy, which seeks to use ocean resources sustainably to generate economic growth while preserving marine ecosystems. Nauru aims to invest the majority of the financial benefits into its Intergenerational Trust Fund to address vulnerabilities and enhance economic resilience.

Gerard Barron, CEO of TMC, expressed pride in the partnership’s achievements and the shared values guiding their journey. He also noted the recent U.S. Executive Order supporting a seabed benefit-sharing mechanism, indicating a positive outlook for ’Big Ocean States’ like Nauru in the industry.

The announcement comes amid delays by the International Seabed Authority (ISA) in adopting Exploitation Regulations, which have impeded NORI’s application for commercial exploitation activities. Nevertheless, Nauru remains committed to sponsoring NORI and working with the ISA.

TMC is an explorer of critical metals from seafloor polymetallic nodules, with a mission to supply metals with net positive impacts and create a recyclable metal commons. The company holds exploration rights in the CCZ, sponsored by the governments of Nauru and the Kingdom of Tonga. Despite current challenges, analyst targets suggest potential upside, with price targets ranging from $5.60 to $12.00. For detailed financial analysis and 10 additional exclusive ProTips about TMC, visit InvestingPro, where you’ll find comprehensive research reports and expert insights.

This news article is based on a press release statement.

In other recent news, TMC the metals company Inc. announced that its subsidiary, TMC USA, received a favorable notice from the National Oceanic and Atmospheric Administration (NOAA) regarding exploration license applications. This development grants TMC USA a priority right to obtain exploration licenses for designated areas, marking a significant step forward in their deep-sea mining endeavors. In financial matters, TMC secured $37 million in a financing round led by Michael Hess and Brian Paes-Braga, aimed at advancing the company’s commercial development plans. H.C. Wainwright initiated coverage on TMC with a Buy rating and a price target of $5.50, expressing confidence in TMC’s potential in the deep-sea mining industry. Conversely, Iceberg Research has taken a short position on TMC, citing concerns over financial assumptions and projections. The firm highlighted potential discrepancies in TMC’s cost estimates and recovery rate assumptions. TMC has also applied for exploration licenses and a commercial recovery permit, following a recent Executive Order to expedite seabed mining. These developments collectively underscore TMC’s active pursuit of deep-sea mineral resources and its strategic positioning in the industry.

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